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Wed April 24, 2013
Struggling Idaho Alt Energy Company Sued Again
Updated at 11:04 a.m.
An Idaho alternative energy company beset by lawsuits faces another one, this time from a bike race that says it hasn't been paid millions in promised sponsorship money.
Exergy Development Group of Boise and its owner, James Carkulis, were sued in Colorado by Classic Bicycle Racing, owner of Colorado's USA Pro Challenge race.
John Moore, Classic's general counsel, said Wednesday company owners were forced to make additional capital contributions when Exergy failed to meet its contractual obligations.
Carkulis is accused of fraud, too, for allegedly misrepresenting his ability to pay.
Exergy canceled Idaho developments, surrendered control of a Minnesota wind farm and was sued for backing out of a Pennsylvania turbine deal.
Amid these woes, Exergy jettisoned its men's cycling team and canceled the now-defunct Exergy Tour women's race in Idaho.
Carkulis said in a written statement that Exergy won't "support the culture of corruption in professional men's cycling until the sport is cleaned up. We join a number of other former men’s bicycling major sponsors in that movement." Exergy's CEO continues by saying, "It stands to reason that if we have not yet been paid on our built energy projects, or have projects on hold with millions invested; this constrains our cash flow to pay sporting obligations.”
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